... IMHO, the logical and fair tax would be a national sales tax INSTEAD of an income tax (not in addition to it!). A small number of essential items could be exempted, such as basic food, maybe public transportation, possibly used cars under a certain price, used clothes or cheap clothes - not sure what, exactly. Maybe even very low cost houses should be exempt. But it should be arranged so that a really thrifty, low income family could get by paying only a little tax by sticking with basics. But if the poor people want (and are able) to go out to a restaurant or buy a big screen TV, then they will pay the sales tax, too. And rich people could also avoid most tax if they only buy those basics. But most people above the poverty line would buy what they do now, and would pay the sales tax. That would mean that only businesses would have to deal with the IRS. Since most already deal with state sales tax, it wouldn't be nearly the burden on business that it is on every citizen now having to file taxes. Then the IRS could focus much more closely on the relatively few filing (a lot less businesses in the US than individual citizens).
Of course, the lobbyists would get busy and try to exempt all kinds of things that make no sense, just as they do now in each state with a sales tax. That would be one of the difficulties to deal with.
This makes total sense to me. But it will never happen because WAY too many government employees AND powerful people and businesses have too much vested in the present system. Too bad - I think it would be much more fair, and a lot less burdensome (and invasive into private lives for the IRS) than what we have now.